Marriott plan dead, Hyatt plan on hold

One of two hotel projects targeted for Mannheim Road near I-90 in Des Plaines is dead, while the other is on life support after a city committee this week recommended giving the developer more time to secure funding.

Oak Brook-based investor and developer The Harp Group Inc. has backed out of building two Marriott hotels on roughly four acres north of the Addams Tollway along Mannheim Road and Pratt Avenue. The lot is across the street from the 466-room Wyndham O’Hare in Rosemont, which closed Jan. 1.

“That project has come to a screeching halt since the credit market has closed for these types of projects,” Des Plaines Director of Community and Economic Development Michael Conlan told city aldermen this week.

Meanwhile, construction on two Hyatt hotels on Mannheim just south of the I-90 tollway, which was expected to begin in April, won’t happen for at least another year.    The city’s community development committee recommended extending a conditional use permit to HNI LLC to build the Hyatt hotels.

The city owns the roughly 5-acre site — home to Ace car rental and a former TraveLodge — which it has agreed to sell for $2.7 million to Chicago developer Harlem Irving Cos., HNI’s parent group.

The proposal calls for building two hotels stacked on top of each other with a total of 313 rooms, and developing three outlots on the property for restaurant/retail uses.  Article from The Chicago Daily Herald written by Madhu Krishnamurthy mkrishnamurthy@dailyherald.com